IDEAS home Printed from https://ideas.repec.org/p/frd/wpaper/dp2024-02erdp2024-02.html
   My bibliography  Save this paper

Perceptions, Quality, and Uncertainty in Ghanaian Fertilizer Markets

Author

Listed:
  • Seth Asante

    (International Food Policy Research Institute Accra, Ghana)

  • Kwaw Andam

    (International Food Policy Research Institute Abuja, Nigeria)

  • Andrew M. Simons

    (Fordham University, Department of Economics)

Abstract

Fertilizer use among small holder farmers in Africa is often thought of as a pathway to improved agricultural productivity and reduced poverty. We examine the perceptions of fertilizer quality along the input supply chain in Ghana and also chemically test collected fertilizer samples. Our objective is to understand whether substandard quality hinders the adoption of fertilizers by farmers. We find that agricultural input dealers perceive fertilizer quality to be lower than farmers do, though both estimate the prevalence of substandard fertilizer at much higher rates than what chemical tests find. Chemical tests at an international laboratory, on average, found fertilizer had the labeled quantity of plant nutrients. Adding to the complicated learning environment farmers face, many local media outlets report on fake or substandard fertilizers and local laboratory tests reported misleading incorrect results when testing the same fertilizer samples.

Suggested Citation

  • Seth Asante & Kwaw Andam & Andrew M. Simons, 2024. "Perceptions, Quality, and Uncertainty in Ghanaian Fertilizer Markets," Fordham Economics Discussion Paper Series dp2024-02er:dp2024-02, Fordham University, Department of Economics.
  • Handle: RePEc:frd:wpaper:dp2024-02er:dp2024-02
    as

    Download full text from publisher

    File URL: https://archive.fordham.edu/ECONOMICS_RESEARCH/PAPERS/dp2024_02_simons.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Esther Duflo & Michael Kremer & Jonathan Robinson, 2008. "How High Are Rates of Return to Fertilizer? Evidence from Field Experiments in Kenya," American Economic Review, American Economic Association, vol. 98(2), pages 482-488, May.
    2. Tavneet Suri, 2011. "Selection and Comparative Advantage in Technology Adoption," Econometrica, Econometric Society, vol. 79(1), pages 159-209, January.
    3. Tessa Bold & Kayuki C. Kaizzi & Jakob Svensson & David Yanagizawa-Drott, 2017. "Lemon Technologies and Adoption: Measurement, Theory and Evidence from Agricultural Markets in Uganda," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 132(3), pages 1055-1100.
    4. Banful, Afua Branoah, 2011. "Old Problems in the New Solutions? Politically Motivated Allocation of Program Benefits and the "New" Fertilizer Subsidies," World Development, Elsevier, vol. 39(7), pages 1166-1176, July.
    5. T.S. Jayne & David Mather & Nicole Mason & Jacob Ricker-Gilbert, 2013. "How do fertilizer subsidy programs affect total fertilizer use in sub-Saharan Africa? Crowding out, diversion, and benefit/cost assessments," Agricultural Economics, International Association of Agricultural Economists, vol. 44(6), pages 687-703, November.
    6. Michelson, Hope & Fairbairn, Anna & Ellison, Brenna & Maertens, Annemie & Manyong, Victor, 2021. "Misperceived quality: Fertilizer in Tanzania," Journal of Development Economics, Elsevier, vol. 148(C).
    7. Krausova, Marika & Banful, Afua Branoah, 2010. "Overview of the agricultural input sector in Ghana," IFPRI discussion papers 1024, International Food Policy Research Institute (IFPRI).
    8. Douglas Gollin & Stephen Parente & Richard Rogerson, 2002. "The Role of Agriculture in Development," American Economic Review, American Economic Association, vol. 92(2), pages 160-164, May.
    9. Michelson, Hope & Gourlay, Sydney & Lybbert, Travis & Wollburg, Philip, 2023. "Review: Purchased agricultural input quality and small farms," Food Policy, Elsevier, vol. 116(C).
    10. Alain de Janvry & Elisabeth Sadoulet, 2010. "Agricultural Growth and Poverty Reduction: Additional Evidence," The World Bank Research Observer, World Bank, vol. 25(1), pages 1-20, February.
    11. T.S. Jayne & Shahidur Rashid, 2013. "Input subsidy programs in sub-Saharan Africa: a synthesis of recent evidence," Agricultural Economics, International Association of Agricultural Economists, vol. 44(6), pages 547-562, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Beg, Sabrin & Islam, Mahnaz & Rahman, Khandker Wahedur, 2024. "Information and behavior: Evidence from fertilizer quantity recommendations in Bangladesh," Journal of Development Economics, Elsevier, vol. 166(C).
    2. Porteous, Obie, 2020. "Trade and agricultural technology adoption: Evidence from Africa," Journal of Development Economics, Elsevier, vol. 144(C).
    3. Michelson, Hope & Gourlay, Sydney & Lybbert, Travis & Wollburg, Philip, 2023. "Review: Purchased agricultural input quality and small farms," Food Policy, Elsevier, vol. 116(C).
    4. Estelle Koussoubé & Céline Nauges, 2017. "Returns to fertiliser use: Does it pay enough? Some new evidence from Sub-Saharan Africa," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 44(2), pages 183-210.
    5. Surya Bhushan, 2021. "Labour Productivity Dynamics in Indian Agriculture: 2000–2016," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 64(2), pages 371-388, June.
    6. Jayne, T.S. & Mason, Nicole M. & Burke, William J. & Ariga, Joshua, 2016. "Agricultural Input Subsidy Programs in Africa: An Assessment of Recent Evidence," Food Security International Development Working Papers 245892, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    7. Holden, Stein T., 2018. "The Economics of Fertilizer Subsidies," CLTS Working Papers 9/18, Norwegian University of Life Sciences, Centre for Land Tenure Studies, revised 16 Oct 2019.
    8. Michelson,Hope Carolyn & Gourlay,Sydney & Wollburg,Philip Randolph, 2022. "Non-Labor Input Quality and Small Farms in Sub-Saharan Africa : A Review," Policy Research Working Paper Series 10092, The World Bank.
    9. Wouter Zant, 2022. "Two Birds with One Stone: Technology Adoption and Market Participation through Protection against Crop Failure," Tinbergen Institute Discussion Papers 22-091/V, Tinbergen Institute.
    10. Nicole M. Mason & Thomas S. Jayne & Nicolas van de Walle, 2017. "The Political Economy of Fertilizer Subsidy Programs in Africa: Evidence from Zambia," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 99(3), pages 705-731.
    11. Lenis Saweda O. Liverpool-Tasie, 2017. "Is fertiliser use inconsistent with expected profit maximization in sub-Saharan Africa? “Evidence from Nigeria”," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(1), pages 22-44, February.
    12. Fujimoto, Takefumi & Suzuki, Aya, 2021. "Do Fertilizer and Seed Subsidies Strengthen Farmers' Market Participation? the Impact of Tanzania NAIVS on Farmers' Purchase of Agricultural Inputs and Their Maize-Selling Activities," 2021 Conference, August 17-31, 2021, Virtual 315044, International Association of Agricultural Economists.
    13. Kibrom A. Abay & Tesfamicheal Wossen & Jordan Chamberlin, 2023. "Mismeasurement and efficiency estimates: Evidence from smallholder survey data in Africa," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(2), pages 413-434, June.
    14. Ruth Hill & Carolina Mejia-Mantilla & Kathryn Vasilaky, 2021. "Is the Price Right? Returns to Input Adoption in Uganda," Working Papers 2105, California Polytechnic State University, Department of Economics.
    15. Liverpool-Tasie, Lenis Saweda O. & Jayne, Thomas & Muyanga, Milu & Sanou, Awa, 2017. "Are African Farmers Experiencing Improved Incentives To Use Fertilizer?," Feed the Future Innovation Lab for Food Security Policy Research Papers 270632, Michigan State University, Department of Agricultural, Food, and Resource Economics, Feed the Future Innovation Lab for Food Security (FSP).
    16. Michelson, Hope & Fairbairn, Anna & Ellison, Brenna & Maertens, Annemie & Manyong, Victor, 2021. "Misperceived quality: Fertilizer in Tanzania," Journal of Development Economics, Elsevier, vol. 148(C).
    17. Tebogo B. Seleka, 2022. "Old wine in a new bottle? Impact of the ISPAAD input subsidy program on the subsistence economy in Botswana," Review of Development Economics, Wiley Blackwell, vol. 26(1), pages 298-322, February.
    18. Larson,Donald F. & Muraoka,Rie & Otsuka,Keijiro, 2016. "On the central role of small farms in African rural development strategies," Policy Research Working Paper Series 7710, The World Bank.
    19. Chowdhury, Shyamal & Smits, Joeri & Sun, Qigang, 2020. "Contract structure, time preference, and technology adoption," GLO Discussion Paper Series 633, Global Labor Organization (GLO).
    20. Ragasa, Catherine & Lambrecht, Isabel & Kufoalor, Doreen S., 2018. "Limitations of Contract Farming as a Pro-poor Strategy: The Case of Maize Outgrower Schemes in Upper West Ghana," World Development, Elsevier, vol. 102(C), pages 30-56.

    More about this item

    Keywords

    Fertilizer; Technology Adoption; Asymmetric Information; Sub-Saharan Africa; Farmer Beliefs; Agricultural Supply Chains; Learning Challenges;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:frd:wpaper:dp2024-02er:dp2024-02. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Fordham Economics (email available below). General contact details of provider: https://edirc.repec.org/data/edforus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.